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These are the same people who say the oil companies are being prevented from drilling more oil by Biden even though they have all very publicly said they have no desire to increase production. Of course they will bitch.Waiting for the same conservatives who bitch about high gas prices to now complain about the government using its power to rein in gas prices
Biden to oil companies: Use those unused leases. Government doesn't drillUS distillate capacity is down 4M b/d since early 2020 and refiners do not want to bring any of that back online. As it stands current capacity is running mid 90% utilization. They wrote back to Biden "well drill more oil" when that isn't the major problem now. They just want to rake in as much cash as possible no matter what at this point.
Any serious disruption to remaining capacity will likely have catastrophic consequences. If the gulf coast takes a couple hurricanes or there is a massive power outage in Texas shit will get real.
Biden to oil companies: Use those unused leases. Government doesn't drill
They also require permits and if the permits aren't issued ............... no drilling.Biden to oil companies: Use those unused leases. Government doesn't drill
Nonsense. They have said repeatedly they have no desire to increase production. That’s end of story on drilling. They don’t want to..They also require permits and if the permits aren't issued ............... no drilling.
Nonsense. They have said repeatedly they have no desire to increase production. That’s end of story on drilling. They don’t want to..
And permits need to be requested. So no permit application, no permit issuance.They also require permits and if the permits aren't issued ............... no drilling.
Better late than never with this. The Biden Administration should have been acting on this back in March not June. Current fuel prices are having a significant impact on those of lower socio-economic status. Not everyone can go out and buy a $50k BEV. We are probably just one refinery fire away from significant supply disruption in fuel. We are close to having diesel shortages which is basically essential for transporting just about everything you see in store shelves. We could also be looking at shortages in DEF which would have a huge impact on shipping.
Their options are sort of limited. Not sure what existing existing authority any administration has to order refiners to reopen dormant units.
Also were one so inclined you can pick up a new, non-self incinerating, Bolt for about 30K. Well under current average new car prices.
Better late than never with this. The Biden Administration should have been acting on this back in March not June. Current fuel prices are having a significant impact on those of lower socio-economic status. Not everyone can go out and buy a $50k BEV. We are probably just one refinery fire away from significant supply disruption in fuel. We are close to having diesel shortages which is basically essential for transporting just about everything you see in store shelves. We could also be looking at shortages in DEF which would have a huge impact on shipping.
Wouldn't it be the same authority that was used during COVID to increase PPE production?
Bet there's a huge pressure campaign behind the scenes to get Zelensky to capitulate, at this point.
If not, then there will be, pretty soon I imagine.
DPA'ing refined products has never been tried in this context AFAIK. Biden could order them to produce and they refuse it goes to court and gets hung up without any impact.
You asked under what existing authority, the Defense Production Act is that existing authority. The rest is just speculation as to what might happen if used.
We should be pulling unused leases.Biden to oil companies: Use those unused leases. Government doesn't drill
He could black list the companies from government business.DPA'ing refined products has never been tried in this context AFAIK. Biden could order them to produce and they refuse it goes to court and gets hung up without any impact.
I think its getting pretty clear that the oil companies are flexing political leverage here; they can time their "maintenance" or slow-walk bringing refineries back up, reap the benefits to their margins and exact maximum political pressure on dems right before midterms so they can swing the balance of power towards the right, who will always cater to their demands, and minimize or slow-walk renewables into the market.The whole industry is protecting margin this time around no matter what it does to consumers. At these levels though there starts to be political risk to them because if the Rs take over and they also cannot get prices (limited existing leverage) down more extreme measures will end up on the table.
Almost none. What Biden should tweet is that he is having the DoE look into creating a national oil company to make sure that gas supply remains at acceptable levels. That would get them moving.Their options are sort of limited. Not sure what existing existing authority any administration has to order refiners to reopen dormant units.
High gas prices don't exactly constitute an emergency.You asked under what existing authority, the Defense Production Act is that existing authority. The rest is just speculation as to what might happen if used.
Id argue stable petroleum supplies comprise a fairly sizable strategic risk, its the whole reason we have the strategic reserve.High gas prices don't exactly constitute an emergency.
At least with N95s and COVID there was an imminent public health threat and a clear lack of production capacity.
Where's the justification for invoking DPA?